Escalating health insurance costs are creating budget headaches for most Americans, and for our local governments.
The Williamsburg-James City County school system is looking at the biggest jump increase in its healthcare costs: It projects a 16% jump -- $3.8 million -- in the fiscal year that starts July 1.
James City County expects an increase of 9%, which will cost the county an extra $1 million next fiscal year. The city of Williamsburg expects its costs to rise but has not yet gotten an estimate, a spokesperson said.
USI, a healthcare consultant that works for both James City County and the schools, laid out a host of factors for the rapid rise in insurance:
An aging workforce that uses more health care
More expensive drugs and high-tech medical treatments
The consolidation of hospitals and medical practices which can negotiate steeper fees from insurers
Staffing shortages for healthcare workers that lead to higher salaries.
Administrators told the W-JC…